3 Things You Should Know About Leasing Used Cars

1. The Car May Not Have Its Warranty

There are a few factors that can determine whether your leased car still has its warranty, such as the age of the car. It is very possible that the manufacturer’s warranty could expire before your lease ends. If this is the case, you might be forced to pay out of pocket for any repairs that are necessary to keep the car in working condition. Keep in mind that you will have to do this not only to keep the car running, but also to avoid any wear-and-tear charges at the end of your lease.

2. Your Monthly Payment Should Cost Less

In case you didn’t know, when you lease a car most of your monthly payments is going towards the expected depreciation of the vehicle. A brand-new car can depreciate by around 20% or more after just one year of owning the car. Used cars usually depreciate slower than new ones, meaning you’ll pay less each month to lease a used vehicle compared to a new one. It’s important to know that the amount of your monthly payment will depend on the particular car you want to lease and the terms of the lease you agree to during signing.

3. Used Car Leasing Isn’t For Everyone

Used car leases certainly have their advantages, but they are not for everyone. If the idea of temporarily driving a brand-new vehicle with the latest technology every time your lease expires sounds good to you, then used-car leasing may not be worth the cost savings to you. Leasing a brand-new car may be a better option for you. If you don’t want to deal with the future headache of extended warranties and maintenance expenses that are sure to pop up with used-car leasing, leasing new cars may be the way for you.